Stock Quotes in this Article: SCMR, WCG

The following commentary comes from an independent investor or market observer as part of TheStreet’s guest contributor program, which is separate from the company’s news coverage. The opinions expressed are those of the author and do not represent the views of TheStreet or its management.

SAN FRANCISCO (Stockerblog) -- Being debt-free, either from a personal standpoint or a corporate standpoint, can carry many financial advantages -- which means that debt-free stocks selling at or near cash can be a very favorable investment. These stocks have virtually no debt and are trading close to the amount of cash the company has per share. With no debt and a lot of cash, the company would be unlikely to go out of business -- unless it is a biotech with a high burn rate. Also, the cash can make the company a possible takeover candidate.

At, we've updated our list of Stocks Selling Near Cash and Debt-Free, which shows the stocks' recent price, market cap, cash per share, forward P/E and cash per share ratio.


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    As an example, Sycamore Networks (SCMR), which is in the intelligent bandwidth solution business, trades at less than $24 per share yet has over $15 in cash per share. The company is debt-free.

    WellCare Health Plans (WCG) is another stock with lots of cash. This debt-free managed health-care services company, which sells for less than $41 per share, has a significant 34.50 per share in cash. The stock trades at 13 times forward earnings.

    To see the other stocks selling near cash and debt-free, including a couple stocks trading for less than their cash per share, go to

    At the time of publication, author had no positions in stocks mentioned.

    Fred Fuld III, the publisher of stock and bond investing blog Stockerblog and founder of WallStreetNewsNetwork, has been in the financial services industry for over 20 years, working as an investment advisor, options market maker at the Pacific Stock Exchange, vice president of a San Francisco money management firm, university faculty member and wholesaler for the New Alternatives Fund (the first environmentally conscious mutual fund). He is the author of the books Investing in Brazil Stocks and The Green Light on Green Stocks.
    Disclosure: Author did not own any of the above stocks at the time the article was written.